Change in the World Wide Nuclear Industry€¦ · The UK Scene •Decline of UK nuclear industry...
Transcript of Change in the World Wide Nuclear Industry€¦ · The UK Scene •Decline of UK nuclear industry...
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Change in the World Wide Nuclear
Industry –
Leadership from a Regulator‟s
Perspective
By
Dr Mike Weightman
HM Chief Inspector of Nuclear Installations
Head of Nuclear Directorate, HSE
World Nuclear University – Summer Institute 2009
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• Background World Scene
Europe
UK
• Change
• Leading Change from a Regulatory Perspective: Building a UK nuclear regulatory body fit for the 21st century
• Lessons for Leading Change?
• A Question for You
• Your Questions
CONTENTS
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The Global Scene
• Climate Change and Energy Security moving to top of
Political Agenda
• Over 50 nations with no NPPs asking IAEA for assistance
to develop Nuclear Power capability
• Nuclear Power capability predictions (OECD’s NEA):
June 2008 439 reactors operating – 372 GW
2050: Worlds nuclear power capacity could increase by between
150 – 380%
Equivalent to new build of 23 to 54 reactors worldwide a year
between 2030 and 2050
(Source: OECD NEA report – Nuclear Energy Outlook)
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The Global Scene – Nuclear Safety
Working with the IAEA and OECD‟s NEA
• Understanding responsibilities:
• IAEA – Governing Board, INSAG, CSS
• OECD – NEA SC, CNRA, CSNI
• Building and improving the infrastructure
• Ensuring Nuclear standards are maintained and
improved – IAEA Safety Standards, IRRS,
• The need for Industry groups and others to contribute -
WANO
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The Global Scene – Nuclear Safety
The IAEA Fundamental Principles:
New: Leadership and Management For Safety
Not of Safety but for Safety:
• high standards of L&M lead to sustained operational
excellence
• Delivers high standards of nuclear safety and reliable
operation
• Safety is not an add-on but integral to success
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The Global Scene – The Challenges
• Nuclear Safety
• Waste Management and Disposal
• Non-proliferation and security
• Cost
• Building the capacity:
• IAEA advice – around 10 years to build the administrative and industrial
infrastructure
• 10 years to build a plant from scratch
• Building the people and supply base
• Nuclear Energy and Society
(Source: OECD NEA report – Nuclear Energy Outlook)
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The Global Scene – Nuclear Energy &
Society
• The need to gain confidence by the public
• The need to address legacy plants
• The need to control Waste issues
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The European Scene
• 148 reactors spread over 15 member states
• All reactor types – generation 1 to 3
• Generate about a 1/3 of all electricity energy in EU
• Fuel fabrication, enrichment, reprocessing, research,
• EC actively promoting further use of nuclear energy
for electricity
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The European Scene – Nuclear
Regulation and Safety
Enhanced Co-operation of Nuclear Regulators• WENRA
• ENSREG
EC Directive On Nuclear Safety• Establishes a community framework
• National arrangements for a high level of nuclear safety
• Gives legal force under European legislation – international
conventions and IAEA safety principles
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The European Scene – Nuclear
Regulation and Safety
Directive on Nuclear Safety
• Applies to any civilian nuclear installation
• National Framework – Nuclear safety
• Independent regulatory authority
• The Licensee - prime responsibility for
nuclear safety, finance and human resources
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The European Scene – Nuclear
Regulation and Safety
Directive on Nuclear Safety
• Member states - develop expertise and skills
• Requires information to be provided to workers and
the general public on regulation – Greater
Transparency to build Greater Public Confidence
• Periodic review and reporting of the national
framework
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The UK Scene
• Decline of UK nuclear industry 2000 – 2008
• Market share of Nuclear Generated Electricity dropping: 1997-27%, 2007-15%
• But Switch round in Government Policy – Energy White Paper January 2008• Market Driver
• Up to 30% electricity generation by nuclear power ?
• Planned NDA spend – Over £70b
• Potential of up to £60b investment in nuclear new build
• Investment in keeping the existing NPPs running
• Planned spend £2.65b over 3 years in MOD – rate similar to reactor build
• Continuing new build of Submarines and improved refuelling facilities
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WHERE ARE THE UK NUCLEAR SITES?
thro
ughContinuous Impro
vemen
t
Reg
ulatory Excellence
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CIVIL NUCLEAR POWER PLANT
Sizewell B & Sizewell A Power Stations
Operating Decommissioning
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NUCLEAR FUEL CYCLE
FACILITIES
•
Sellafield
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NUCLEAR SUBMARINE MAINTENANCE
FACILITIES
Devonport Nuclear Submarine Base
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REGULATORY FRAMEWORK TO
ENSURE NUCLEAR SAFETY (1)
• Legal basis: HSW Act – Nuclear Installations Act, need
Site Licence for Activities
• Goal-setting, Stringent, Rigorous and Robust but flexible
• Control by same standard 36 conditions attached to each
site licence for all types of plants
• Assess changes against our Safety Assessment
Principles
• Fundamental concept: Reducing risks so far as is
reasonably practicable – Tolerability of Risks
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Unacceptable Region
Risk cannot be justified
except in extraordinary
circumstances
The 'as low as reasonably practicable' or Tolerability Region
(Risk is undertaken only if a benefit is desired)
Tolerability of Risk
Tolerable only if risk reduction
is not practicable or its cost
is grossly disproportionate
to the improvement gained
Tolerable if cost of reduction
would exceed the improvement
gained
Necessary to maintain
assurance that risk stays at
this level
Negligible Risk
Broadly Acceptable Region
(No need for detailed working
to demonstrate that the risk
is as low as reasonably practicable)
Society does not accept nuclear risk rather it tolerates it
because of the benefits
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REGULATORY FRAMEWORK TO
ENSURE NUCLEAR SAFETY (2)
• Site Licence Granted on Basis of:• Design• Siting• Organisation
• Provides for a Living Safety Case
• Independent of Political or Commercial Pressure
• HM CI Signs Licence and Attaches Conditions thinks fit
• A Through Life Approach
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LIFETIME REGULATION
• 5 Phases - design, construction, commissioning, operation, decommissioning
• For Each Phase – assess, inspect, investigate, enforce, permission
• Control Change through site licence conditions–plant, people, processes, organisation
• Continuing Operation – inspection & monitoring, periodic safety reviews: improvements where
reasonably practicable.
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IMPLICATIONS OF UK GOAL SETTING
REGIME AND THE WAY NII OPERATES
• Small but highly qualified and very experienced workforce (1/10 of US
NRC – 178 nuclear safety inspectors at present)
• Able to accommodate new technologies easily
• Quick response as we do not need prescriptive regulations
• But difficult for small or new players – no detailed regulations to follow
& they need capability to be “intelligent customer”, own safety case, etc
• Effectiveness? - IAEA Led Peer Review of 2006: “…Long established
and well regarded nuclear regulatory agency … mature and
transparent, with highly trained and experienced inspectors…”
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• Increasing pace of change in industry
• Structure of Industry fragmenting
• New players and organisations involved
• Ageing plant, facilities & people
• Changes in society – openness and transparency
• Economic and investment pressures, industrial innovation
UK ENVIRONMENT
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• Response to Environment – Darwinian: need to change to survive
• Some change planned, some creeps up on you, some is thrust on you, some is dramatic and results in a seismic shift:
modifications to plant
many years of lack of investment in assets or people
new European legislation
Societal, industrial, political change
• At various levels: macro – world wide nuclear industry, global players
fragmentation, competition, contractorisation, new players
micro – change of shift patterns on a plant
• Need it to avoid “meta-stable excellence” & complacency
• Shift is Happening Around You – How to Respond?
SHIFT HAPPENS
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The 5% of the population in China
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of the UK
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7%
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They have more gifted & talented
students, than we have students
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UK
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According to former US
Secretary of Education
Richard Riley…
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Great Britain…in 1900
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What will it take for us to
be a world leader in
nuclear regulation?
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It is estimated that aweek‟s worth of The Times…
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For students starting a
three-year university degree,
this means that . . .
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half of what they learn in their first
year of study will be outdated
by the end of their studies.
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£500
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Projected spend
on keeping civilian legacy plant
is greater than
£70 billion
safe and decommissioned
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MoD's rate of spend
to maintain capability at
AWE sites equates to
building a new
nuclear reactor
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Interest in
Nuclear
continues to grow ...
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231 freedom of information
requests
into ND since January 2005
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... and around
50nuclear related
press enquires
each month
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In March 2000 the Guardian
claimed that nuclear power
in Britain was
melting down citing
„the great
experiment is over‟
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On 15th July 2009 Government
announced £15 million capital
investment to establish
Nuclear Advanced
Manufacturing
Research Centre
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In 2010 the NII
will be 50 years old
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343 people currently work
in the Nuclear Directorate
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16 nuclear inspectors
are
over 60
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Over the next 2 to 3
Years this rises to
40 inspectors
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During a recent
recruitment campaign
over 300people applied
to join us
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In less than 9 months time
the Nuclear Directorate
plans to be ready for
shadow working
as a new independent
Nuclear regulatory
body
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We are investing £4.5m of in building
Our new organisation
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society is changing fast, we are passionate in driving
to be a world leading
nuclear regulator
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why we need to change,
are you with us?
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Why Change? – Now you Know!
• Society and industry Is Going through a Dramatic Shift – not
gradual change
• Leaders need to respond
• UK Nuclear Policy has Shifted Dramatically
• Nuclear Regulators in UK need to change faster:
Need to be more accountable and transparent
Need for better regulation
Present Status as Civil Servants not flexible enough
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Changing the UK Nuclear Safety
Regulatory Body – NII into NSC (2005-9)
Vision: a world leading integrated nuclear
regulatory body fit for future• An Integrated Nuclear Regulator – Safety/Security/Safeguards/ ….
• Clear Common Purpose
• A new approach and focus - Built on Outcomes not just processes
• Simple compliance not enough – need continuous improvement
• Impact or leverage of our approach - Influencing as well as
Regulating
• Preparing for Nuclear New Build taking account of a changing
society – earning trust and confidence
• Creating and Grasping Opportunities – A More Independent
Nuclear Regulatory Body in 2010?
• Going from Good to Great
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Creating and Grasping the
Opportunities
An integrated Nuclear Regulatory Body:
• 2005 onwards – built up relationships with Nuclear Security Regulator and UK Safeguards Office
• They had issues with independence and Budgetary pressures
• Government Agenda for Better Themed Regulation
• April 2007 – Nuclear Security Regulator (OCNS) and UKSO joined NII (Nuclear Directorate of HSE)
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Protecting People and Society
- from the hazards of nuclear industry
A clear Common Purpose ….
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Protecting Society is a simple statement
but a complex idea …
• Not just the simple accumulation of harm to individuals as in
mathematical treatments of societal risk
• Its also about protecting the very Fabric of Society which
binds us together
• Means that regulatory judgements take impact on fabric of
society into account, e.g. electricity supplies
Protecting Society …
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Revised Approach: Regulating &
Influencing Safety of Existing Plants
Regulatory
Leverage
Events
Patterns
Systems
Mind map
Vision
Plant/
Operations
Processes
Structures
Safety
Cultures
Regulate Influence
Organisational
Learning
Reality &
Compliance
PublicConfidence
Regulators influence safety culture for better or worse,
whether they intend to or not and it can have far greater
impact – need to with others.
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The Power of Influencing Networks
Julius Caesar
Q - How did Cassius
get Caesar
to face his death
despite the omens?
A - Used Decius to
convince Caesar‟s wife
to persuade Caesar all
was well.
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The Strength of Influence and
Working Together
• Joint Interface protocol with industryCommon Vision – Sustained Excellence in Operation
Common Behaviours - Clear Expectations, No surprises, Co-ordinated plans
Already paying dividends in more effective and efficient regulation
• Engagement with all stakeholders - Listening to Their
Feedback
• Communicating Effectively
• Earning Respect, Trust and Confidence
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REVISED APPROACH: REGULATION
OF POTENTIAL NEW NUCLEAR BUILD
Proposed New Two stage Nuclear Licensing Process in 2005:
• PHASE 1: Generic Pre-licensing Assessment “Generic Design Acceptance“ using generic site characteristics
(around three and half years)
Basis for building a fleet (or 2) of identical reactors
• PHASE 2: Specific Nuclear Site Licensing site specific and
operator specific assessment
(six to twelve months)
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PHASE 1 IS A 4 STEP GENERIC
DESIGN ACCEPTANCE PROCESS
Preparation
Fundamental
Overview
Overall Design
Safety
Review
Detailed Design
Assessment
Time
Level of scru
tiny 4 Steps with
increasing levels of
scrutiny
Step 1
Step 2
Step 3
Step 4
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MAIN PREPARATIONS FOR
REGULATING POTENTIAL NEW BUILD
• Processes – guidance published
• Effectiveness/Credibility – IAEA Peer Review,
governance
• Organisation – Progressively build up new Division, NII &
OCNS in ND
• Efficiency/Working with environment regulators
• Resourcing – HSE & government, external support,
international
• “Standards” – revised Safety Assessment Principles
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POSITION IN MARCH 2008
STEP 2 COMPLETED
March 2008
• Completed summary reports on all 4 designs
• Completed 42 supporting reports
• Received report by Independent Review Board
• Concluded for all 4 designs that, in principle,
based on claims made no shortfalls to
prevent being constructed in UK
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OPENNESS AND PUBLIC
INVOLVEMENT (1)
We arranged:
• Designs on vendors web sites
• Web links to designs
• Published summary, supporting and independent reports
• Vendors announcement in national press
• Announcements on HSE & EA web sites
• E-bulletin for GDA
• Leaflets (50,000) for all public libraries in GB
• Wrote to Members of Parliament Members, etc
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OPENNESS AND PUBLIC
INVOLVEMENT (2)
• Total of 80,000 web hits in 6 months
• 3,000 – 6,000 per month on each design
• 5,000 hits per month on our web site
• “new build” e-bulletin – over 1650 members
• Over 100 Requests for CDs of the designs
• 37 comments received:25 on the designs (reflected in Step 2 reports)
12 general comments on the GDA process
Outcome:
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REGULATING POTENTIAL NEW
NUCLEAR BUILD – Present Position
AECL ACR1000 EDF/AREVA UK EPR
WESTINGHOUSE AP1000GE HITACHI ESBWR
Withdrawn
Suspended
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REGULATING POTENTIAL NEW
NUCLEAR BUILD – Present Position
• Step 3 well on the way – End with Report in
November 2009
• Resource build up going well – 90% there
• Early identification of Major Issues – Segregation of
Reactor Control and Instrumentation systems in EPR
• On track to finish GDA (Step 4) in June 2011
• Any Exclusions Depends on Designs Sufficiently
Complete and Resolved Issues
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Building a Nuclear Regulatory Body Fit
for the Future - An opportunity arises?
• Shift Change of nuclear policy in UK – January 2008
• Stone Review of Nuclear Regulation – January 2009
• Nuclear New Build needs a robust well resourced
respected independent regulator
• Need to ensure present plants continue to operate at
high standards of safety
• Need to deal with the legacy of the last 50 years
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Grasping the opportunity
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Government response to Stone Review:
“Consultation on the Restructuring of the HSE’s Nuclear Directorate” 30 June to 22 September 2009
• Create ND as Nuclear Statutory Corporation (NSC) in 2010
• A new sector-specific (nuclear) independent regulator
• All present ND functions but add regulation of radioactive transport currently in Department of Transport
Creating more integrated independent
modern nuclear regulatory body
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Creating a Nuclear Regulatory
Body Fit for the Future
• Advent of NSC – fantastic opportunity to accelerate change
• Not just Transition but importantly Transformation
• Building on being strong, independent, highly effective and respected regulator (IAEA Peer Review)
but be more:
• Modern, dynamic, open, listening, responsive,
forward looking, integrated
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Creating more integrated independent
modern nuclear regulatory body
Nuclear Statutory Corporation, proposals:
• Public Sector Body outside civil service
• Own independent Board
• Post of Chief Inspector to be defined in legislation
• Much increased flexibility, e.g. to set salaries, pay
structures, etc
• Enhanced transparency and accountability
• Enhanced confidence of all stakeholders & wider
public visibility
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General Lessons on Leading Change?
Assess the Strategic Environment:
• Is your view of the world out of date?
• How has it changed?
• How will it change?
• How quick?
Assess Where you are:
• Face up to the Brutal Facts as others see your organisation, your function, you
• Compare your organisation with others, with humility seeking to learn
• Assess yourself, your team, the task
Assess where you need to be and want to be:
• What do you have to do?
• What can you be best in the world at?
• What are you passionate about?
Determine your Purpose and Vision
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General Lessons on Leading Change?
Decide the strategy:
• Determine the strength of the obstacles and how to get over or round them
• Build Allies- know them
• Build influencing networks and commitments
• Build on your strengths and reinforce your weaknesses
• Create and Grasp Opportunities
Decide how you are going to get there:
• What do you need to do?
• What enablers do you need?
• What resources?
• How do you get the right people on the train for the journey?
• Are they in the right seats?
• How is the change going to be managed?
• Who is driving the train?
• How do you generate followship
• Communicate, communicate, communicate
Know & Grip Self, then the Team, and only then
the Task and then Do it!
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Implications of SHIFT HAPPENS
for Leaders?
Leader has to be a life-long learner
“Mental habits that support life-long learning:
• Risk Taking – Willingness to push oneself out of comfort zones
• Humble Self-Reflection – Honest assessment of successes and failures, especially the latter
• Solicitation of opinions – Aggressive collection of information and ideas from others
• Careful listening – Propensity to listen to others
• Openness to new ideas - Willingness to view life with an open mind”
John P. Knotter – “Leading Change”
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Other Lessons for Nuclear Leaders?
“As a leader, one must sometimes take actions that are
unpopular, or whose results will not be known for years to
come. There are victories whose glory lies only in the fact
that they are known to those who win them. This is
particularly true of prison, where you find consolation in
being true to your ideals, even if no one else knows of it.”
Nelson Mandela – Long Walk to Freedom.
“Level 5 Leadership is about having great ambition
- great ambition for the organisation and its purpose, not for
yourself.” (Leadership is about we not me.)
Jim Collins – From Good to Great
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Other Lessons for Nuclear Leaders?
50 years ago leaders across the world started on a great journey
– building a civil nuclear industry.
Today there is an opportunity take that journey into new and
richer pastures, an exciting journey, one that will have many
pitfalls along the way, one that will be hard and tiring, one that
demands a commitment to:
Highest Standards of Safety, Security, Safeguards and
Environment Protection;
Openness and Transparency as the basis for earning trust
and confidence;
Sustained Excellence in Leadership of all;
but one that will be very worthwhile.
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As Future Leaders are You going to Grasp
the Opportunities to Change the World
Together for the better?
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Any Questions?